Legislature(2003 - 2004)

03/03/2004 08:05 AM Senate JUD

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
                     SB 217-GENETIC PRIVACY                                                                                 
                                                                                                                                
SENATOR DONNY OLSON,  sponsor, told members he  introduced SB 217                                                               
because current  law does  not adequately  protect and  define an                                                               
individual's  right to  his or  her genetic  information. Without                                                               
such protection,  an individual  and his  or her  blood relatives                                                               
could be abused.                                                                                                                
                                                                                                                                
CHAIR SEEKINS asked why the  legislature should enact a bill that                                                               
restricts  these  activities for  private  industry  but not  for                                                               
government entities.                                                                                                            
                                                                                                                                
SENATOR OLSON  said that is a  good question, as many  people are                                                               
apprehensive  about  the  actions   of  government  agencies.  He                                                               
pointed  out   that  [indisc.]  and   AS  09.65.070   pertain  to                                                               
actionable claims  against the state, and  address everything not                                                               
covered in the exemptions in SB 217.                                                                                            
                                                                                                                                
CHAIR  SEEKINS  expressed  concern  that  the  definition  of  "a                                                               
person"  in the  bill does  not include  a government  agency. He                                                               
said  he would  not  want  the Department  of  Health and  Social                                                               
Services (DHSS)  to be  able to collect  DNA samples  without the                                                               
same restrictions that will apply to an insurance company.                                                                      
                                                                                                                                
SENATOR  OGAN concurred  with Chair  Seekins'  analysis that  "we                                                               
shouldn't  necessarily trust  the government  just because  we're                                                               
the  government and  we're here  to help  you."   He recalled  an                                                               
incident  several  years  ago   in  which  confidential  criminal                                                               
background  records  of  candidates  were accessed  by  a  public                                                               
employee during an  election campaign and said  the potential for                                                               
misuse is there.                                                                                                                
                                                                                                                                
CHAIR SEEKINS  referred to paragraph 2,  line 11, on page  1, and                                                               
noted  that  language  makes  a   DNA  sample  and  analysis  the                                                               
exclusive property of  a person. He doesn't want  anyone to imply                                                               
that  language  applies  except  in the  hands  of  a  government                                                               
agency.                                                                                                                         
                                                                                                                                
SENATOR FRENCH asked  that a representative from  DHSS explain to                                                               
the committee when and why it would use that information.                                                                       
                                                                                                                                
SENATOR OGAN referred  to the private right of  action section on                                                               
page 2, and  suggested getting a legal  interpretation of whether                                                               
or not  a government agency  would be included in  the definition                                                               
of "a person."                                                                                                                  
                                                                                                                                
SENATOR  FRENCH said  irrespective  of whether  an  agency is  at                                                               
fault, a  right of  action could be  taken against  an individual                                                               
who  illegally sold  or disclosed  confidential information.  The                                                               
next question would be whether the  agency is immune to a lawsuit                                                               
if it adopted a policy of dissemination contrary to law.                                                                        
                                                                                                                                
CHAIR  SEEKINS asked  whether an  employee would  be immune  from                                                               
disseminating  information if  the  agency for  which the  person                                                               
worked is not restricted from disseminating that information.                                                                   
                                                                                                                                
SENATOR FRENCH said in his opinion, a statute trumps policy but                                                                 
He suggested that DHSS brief the committee on its policies.                                                                     
                                                                                                                                
SENATOR OLSON reminded members that the  intent of the bill is to                                                               
provide some  type of protection  to an individual  regarding his                                                               
or her DNA information. He  noted that although members' concerns                                                               
are  valid,  DHSS  is  not   exempt  from  the  informed  consent                                                               
requirement, and the main point of  SB 217 is to require informed                                                               
consent.  He repeated  that DHSS  must get  informed consent  but                                                               
what happens afterward is not the  focus of the bill; that should                                                               
be the focus of other legislation.                                                                                              
                                                                                                                                
CHAIR SEEKINS asked  if government agencies are  not specified in                                                               
the bill for some structural reason.                                                                                            
                                                                                                                                
SENATOR OLSON nodded no.                                                                                                        
                                                                                                                                
SENATOR THERRIAULT  asked if another  section of  statute governs                                                               
the  way  a  government  agency  would  gather  and  handle  that                                                               
information. He  then expressed  concern that  the bill  uses the                                                               
word  "person"   interchangeably  to   refer  to   an  individual                                                               
collecting a sample and the person from which a sample is taken.                                                                
                                                                                                                                
CHAIR  SEEKINS  commented  that he  completely  agrees  with  the                                                               
concept behind SB  217 but is still concerned  about plugging all                                                               
leaks to protect the individual's privacy.                                                                                      
                                                                                                                                
SENATOR OLSON said no legislation  can plug every leak. Regarding                                                               
Senator Therriault's concern, he  noted other sections of statute                                                               
deal  with actionable  claims against  the state.  That arena  is                                                               
very complex  and convoluted. He  expressed concern  that getting                                                               
involved in that area would detract  from what he is trying to do                                                               
in this bill.                                                                                                                   
                                                                                                                                
SENATOR   THERRIAULT  asked   if  AS   44.41.035  addresses   the                                                               
collection of a DNA sample to establish paternity by DHSS.                                                                      
                                                                                                                                
SENATOR OLSON  said AS 44.41.035  deals with the  law enforcement                                                               
exemptions.                                                                                                                     
                                                                                                                                
SENATOR  FRENCH  commented that  subsection  (f)  spells out  the                                                               
restrictions on  the people  who collect this  data and  says the                                                               
DNA registration system is confidential  and can only be used for                                                               
the reasons listed. He said the  committee heard a fair amount of                                                               
testimony on this issue last  year when it contemplated expanding                                                               
the number  of crimes  that DNA samples  could be  collected for.                                                               
DPS gave a good presentation at  that time about how tightly that                                                               
information is tracked.                                                                                                         
                                                                                                                                
SENATOR OGAN  asked if anyone  was available to testify  from the                                                               
Department of Law (DOL).                                                                                                        
                                                                                                                                
CHAIR SEEKINS said no one was present.                                                                                          
                                                                                                                                
SENATOR  OGAN noted,  for  the  record, that  he  has noticed  an                                                               
absence  of  anyone  from  DOL at  the  committee  hearings  this                                                               
session.                                                                                                                        
                                                                                                                                
SENATOR FRENCH  pointed out  that SB  217 was  written to  hit 90                                                               
percent of  the target  and gives clear  direction to  the public                                                               
and the  government about  when informed  consent is  required to                                                               
obtain  a  DNA  sample.  He  argued  that  he  cannot  imagine  a                                                               
situation in which a government  official could start selling DNA                                                               
samples  to  insurance  companies  but, if  that  did  happen,  a                                                               
lawsuit and  employee firing would  resolve the problem.  He said                                                               
he believes this bill is ready to move out of committee.                                                                        
                                                                                                                                
CHAIR SEEKINS said  he is trying to find peace  with his concerns                                                               
about the bill.                                                                                                                 
                                                                                                                                
SENATOR THERRIAULT  said some of  his concerns have  been allayed                                                               
by the  fact that  other statutes  speak to how  a sample  can be                                                               
collected and  used. He asked, in  reference to page 1,  line 15,                                                               
what  "other jurisdiction"  encompasses and  whether it  covers a                                                               
local government or other state agencies.                                                                                       
                                                                                                                                
SENATOR FRENCH replied:                                                                                                         
                                                                                                                                
     If  I were  just speaking  off the  top of  my head,  I                                                                    
     would say it...would be  a statute specifically dealing                                                                    
     with  a DNA  identification  system  and, moreover,  it                                                                    
     would be a DNA identification  system supervised by the                                                                    
     Department of Public Safety. If  it were something more                                                                    
     like  paternity  or  screening  newborns  or  emergency                                                                    
     medical  treatment,  it  would  fall  under  the  other                                                                    
     exceptions under subsection  (b). So it would  be a DNA                                                                    
     identification system and I  would say either conducted                                                                    
     by  the   United  States   Government  for   their  law                                                                    
     enforcement purposes or by another state.                                                                                  
                                                                                                                                
SENATOR  FRENCH thought  it unlikely  that  it would  apply to  a                                                               
local  government because  no other  local  jurisdiction has  DNA                                                               
identification systems for criminal justice purposes.                                                                           
                                                                                                                                
CHAIR  SEEKINS  thought "jurisdiction"  could  apply  to a  local                                                               
police department  or a  subdivision of  state government  with a                                                               
law enforcement unit.                                                                                                           
                                                                                                                                
SENATOR  FRENCH disagreed  as  he thought  that  reading was  too                                                               
broad.                                                                                                                          
                                                                                                                                
CHAIR SEEKINS asked what a comparable provision would be.                                                                       
                                                                                                                                
SENATOR FRENCH said it must  be comparable to AS 44.41.035, which                                                               
is about DNA identification for the purpose of public safety.                                                                   
                                                                                                                                
CHAIR SEEKINS said  if the City of Fairbanks could  collect a DNA                                                               
sample, it would.                                                                                                               
                                                                                                                                
SENATOR FRENCH  said if it did,  the sample would be  sent to the                                                               
state crime lab  for analysis and retention. The  crime lab would                                                               
then send  a report to the  City of Fairbanks saying  whether the                                                               
sample was a match taken at the crime scene.                                                                                    
                                                                                                                                
CHAIR  SEEKINS asked  why "another  jurisdiction" is  included in                                                               
the bill if it is meaningless.                                                                                                  
                                                                                                                                
SENATOR OGAN suggested that it may  have been included in case an                                                               
Alaskan city gets its own crime lab in the future.                                                                              
                                                                                                                                
CHAIR  SEEKINS said  he  still feels  that  government should  be                                                               
required to hold the information as private as anyone else.                                                                     
                                                                                                                                
SENATOR OLSON agreed.                                                                                                           
                                                                                                                                
CHAIR SEEKINS asked about the letter of intent.                                                                                 
                                                                                                                                
SENATOR  THERRIAULT said  the sponsor  was agreeable  to [placing                                                               
the  legislative findings  and  purpose section  of the  original                                                               
bill in] a letter of intent.  He noted two corrections need to be                                                               
made to the letter of intent:                                                                                                   
                                                                                                                                
   · Replace the word "has" with "have" on the first line                                                                       
   · Add an apostrophe to the end of the word "families" on line                                                                
     2                                                                                                                          
                                                                                                                                
SENATOR OLSON  said the letter  of intent is concise  and focuses                                                               
on  what he  wants to  do with  the bill.  He commented  that the                                                               
field of  biotechnology is getting  more and more  complicated so                                                               
it is important to get a handle on it now.                                                                                      
                                                                                                                                
SENATOR  OGAN said  he supports  moving the  bill from  committee                                                               
today.                                                                                                                          
                                                                                                                                
CHAIR SEEKINS announced that he would take public testimony.                                                                    
                                                                                                                                
8:43 a.m.                                                                                                                       
                                                                                                                                
MR.  JOHN  GEORGE,  representing  the American  Council  of  Life                                                               
Insurers (ACLI), asked  to clarify a few points made  at the last                                                               
meeting   regarding   how   insurance  companies   share   health                                                               
information.  The Division  of  Insurance is  in  the process  of                                                               
adopting  a privacy  regulation. That  model closely  follows the                                                               
National Association  of Insurance  Commissioners' model  and the                                                               
National  Conference  of   Insurance  Legislators'  model.  Those                                                               
bodies  and the  Division  of Insurance  recognize very  specific                                                               
reasons  to share  health care  and  genetic information:  claims                                                               
administration  and  adjustment,   underwriting,  guarantee  fund                                                               
functions,  reinsurance,   risk  and  case   management,  quality                                                               
assurance   for   consumers,   actuarial   scientific   grievance                                                               
procedures, internal administration  and compliance, policyholder                                                               
services, and  audits. The  ACLI is concerned  that if  it cannot                                                               
share that  information, it will  be unable to fulfill  its legal                                                               
obligations  to  policyholders  and regulatory  bodies.  He  said                                                               
insurance companies  are very  protective of  health information.                                                               
Alaska would be  the only state that requires  a separate notice,                                                               
which would  make it more  difficult for insurers to  do business                                                               
in Alaska. This bill would provide  that if a person withdrew his                                                               
or her authorization, the insurance  company would have to remove                                                               
it  from the  individual's  file and  destroy  it. The  insurance                                                               
company   would   then   be  unable   to   justify   its   rating                                                               
classification.                                                                                                                 
                                                                                                                                
MR.  GEORGE  told  members  the   ACLI  is  concerned  about  the                                                               
definitions of genetic testing and  genetic analysis in the bill.                                                               
Those  definitions are  very broad  and would  include tests  the                                                               
general public might  not consider to be genetic  tests but could                                                               
fall  within the  definition. The  ACLI would  prefer a  narrower                                                               
definition to  exclude specific test  results that  are collected                                                               
now. In  addition, if a  separate authorization is  required, the                                                               
ACLI  would  prefer  that  it  be drafted  and  approved  by  the                                                               
Division  of  Insurance   rather  than  DHSS  for   the  sake  of                                                               
consistency.                                                                                                                    
                                                                                                                                
SENATOR THERRIAULT  asked for an  example of a routine  test that                                                               
would get swept into the definition in the bill.                                                                                
                                                                                                                                
MR. GEORGE said that Dr.  Gleason of Northwest Mutual assured him                                                               
that definition would include iron  levels in the blood. He added                                                               
that any  blood test  could potentially  be a  DNA test.  He then                                                               
referred to a proposed amendment and read:                                                                                      
                                                                                                                                
     A  genetic  test  does  not  mean  a  routine  physical                                                                    
     measurement;  a test  for drugs,  alcohol, cholesterol,                                                                    
     or HIV; a test performed  for the purpose of diagnosing                                                                    
     or   detecting   disease,   illness,   impairment,   or                                                                    
     disorder; or  a chemical,  blood, or urine  analysis or                                                                    
     other  test  that is  widely  accepted  and in  use  in                                                                    
     clinical practice.                                                                                                         
                                                                                                                                
He noted that Senator Olson might  be better able to answer Chair                                                               
Seekins' question.                                                                                                              
                                                                                                                                
SENATOR  THERRIAULT thought  that  a routine  test  would not  be                                                               
considered  to be  a genetic  test  under the  definition in  the                                                               
bill.                                                                                                                           
                                                                                                                                
CHAIR SEEKINS  asked what  will change if  the definition  in the                                                               
proposed amendment is adopted.                                                                                                  
                                                                                                                                
MR. GEORGE said people at the  ACLI and medical doctors wrote the                                                               
definition from  the member companies.  He said he does  not have                                                               
enough  medical  expertise  to  answer  that  question  so  again                                                               
deferred to Senator Olson.                                                                                                      
                                                                                                                                
SENATOR OLSON said he discussed  with Dr. Gleason, a professional                                                               
consultant for the insurance industry,  the definition of genetic                                                               
testing. He told members:                                                                                                       
                                                                                                                                
     As you  walk down  this very complicated  issue, you're                                                                    
     going to  have people on  one side and entities  on the                                                                    
     other, whether  it's the industry  on one side  and the                                                                    
     ACLU on the  other, it's a very - quite  a tightrope to                                                                    
     go  ahead and  get a  handle on  and that's  the reason                                                                    
     for...[END OF SIDE A].                                                                                                     
                                                                                                                                
TAPE 04-13, SIDE B                                                                                                            
                                                                                                                                
     ...before we start getting off  into a real complicated                                                                    
     biotechnological  problem.  Specifically, where  I  had                                                                    
     difficulty with  the amendment  related to  the genetic                                                                    
     test was that  the definition as compared  to what's in                                                                    
     the bill starts  to have a little bit  of broader range                                                                    
     exemptions  for  the  insurance  industry  than  I  was                                                                    
     willing to  go ahead and  take on. For example,  as you                                                                    
     go ahead  and look at some  of the issues here,  a test                                                                    
     performed for the  purpose of ... where  it says 'tests                                                                    
     performed for  the purpose of diagnosing  and detecting                                                                    
     diseases',  and   then  compare  that  with   the  last                                                                    
     sentence...which  is   'widely  accepted  for   use  in                                                                    
     clinical practice'.  All of  a sudden  the bill  has no                                                                    
     teeth in  it and because  of that,  I - rather  than go                                                                    
     through this whole exercise, it  becomes an exercise in                                                                    
     futility if  we don't have  any type of  solid sentence                                                                    
     structure that we  can point to that  doesn't allow for                                                                    
     the purposes of diagnosing and detecting diseases.                                                                         
                                                                                                                                
CHAIR SEEKINS  asked Senator Olson  if an impairment  or disorder                                                               
can be genetic.                                                                                                                 
                                                                                                                                
SENATOR OLSON said either can.                                                                                                  
                                                                                                                                
CHAIR  SEEKINS asked  if  a  test to  diagnose  an impairment  or                                                               
disorder could be a DNA analysis.                                                                                               
                                                                                                                                
SENATOR OLSON said it could.                                                                                                    
                                                                                                                                
CHAIR  SEEKINS  asked,  "So,  in   that  case,  DNA  or  RNA...or                                                               
chromosome test  could be used  to detect disorder  or impairment                                                               
and would  escape this loophole  - am I correct  or am I  wrong -                                                               
escape the prohibition?"                                                                                                        
                                                                                                                                
SENATOR OLSON said [the proposed  definition] is too broad in his                                                               
estimation.                                                                                                                     
                                                                                                                                
CHAIR SEEKINS asked if impairment could be a predisposition.                                                                    
                                                                                                                                
SENATOR OLSON said  all mortals have some kind  of impairment and                                                               
disorder.                                                                                                                       
                                                                                                                                
CHAIR SEEKINS commented that widens the loophole too much.                                                                      
                                                                                                                                
SENATOR FRENCH agreed and noted  that switching to a genetic test                                                               
would mean  a basic rewrite of  the bill because the  bill speaks                                                               
throughout about DNA analysis and  the current definition is of a                                                               
DNA analysis.                                                                                                                   
                                                                                                                                
CHAIR SEEKINS  again said  he is  concerned about  broadening the                                                               
definition.                                                                                                                     
                                                                                                                                
SENATOR  OGAN thanked  Senator  Olson for  taking  time from  his                                                               
profession as a medical doctor to serve in the legislature.                                                                     
                                                                                                                                
CHAIR SEEKINS asked for the will of the committee.                                                                              
                                                                                                                                
SENATOR FRENCH moved  CSSB 217(JUD), version I,  and its attached                                                               
fiscal note from committee with individual recommendations.                                                                     
                                                                                                                                
CHAIR  SEEKINS  announced  that  without  objection,  the  motion                                                               
carried.                                                                                                                        
                                                                                                                                
SENATOR FRENCH  moved the  letter of  intent from  committee with                                                               
the noted grammatical corrections.                                                                                              
                                                                                                                                
CHAIR  SEEKINS  announced  that  without  objection,  the  motion                                                               
carried.                                                                                                                        
##                                                                                                                              
                                                                                                                                
CHAIR SEEKINS announced a 5-minute at-ease.                                                                                     
                                                                                                                                
#^HB31                                                                                                                          
#^HJR5                                                                                                                          

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